KANSAINER - Swing Trade Analysis with AI Signals
Back to ListSwing Trade Rating: 3.6
| Stock Code | KANSAINER | Market Cap | 18,701 Cr. | Current Price | 231 ₹ | High / Low | 275 ₹ |
| Stock P/E | 28.3 | Book Value | 79.6 ₹ | Dividend Yield | 1.08 % | ROCE | 14.0 % |
| ROE | 10.4 % | Face Value | 1.00 ₹ | DMA 50 | 235 ₹ | DMA 200 | 245 ₹ |
| Chg in FII Hold | -0.44 % | Chg in DII Hold | 0.38 % | PAT Qtr | 137 Cr. | PAT Prev Qtr | 231 Cr. |
| RSI | 46.8 | MACD | 0.31 | Volume | 1,66,724 | Avg Vol 1Wk | 1,58,588 |
| Low price | 218 ₹ | High price | 275 ₹ | PEG Ratio | 1.51 | Debt to equity | 0.03 |
| 52w Index | 23.1 % | Qtr Profit Var | 5.21 % | EPS | 12.6 ₹ | Industry PE | 40.9 |
📊 Kansai Nerolac (KANSAINER) shows moderate potential for swing trading. The RSI at 46.8 indicates the stock is neither overbought nor oversold, while MACD is slightly positive (0.31), hinting at mild bullish momentum. The current price (231 ₹) is below both the 50 DMA (235 ₹) and 200 DMA (245 ₹), suggesting short-term weakness. An optimal entry price would be around 225–228 ₹ for risk-managed buying. If already holding, consider exiting near 245–250 ₹ where resistance from moving averages is expected.
✅ Positive
- 📈 Low debt-to-equity ratio: 0.03 indicates strong financial stability.
- 💰 Dividend yield: 1.08% provides steady income for investors.
- 📊 Reasonable P/E ratio: 28.3 compared to industry PE of 40.9 shows fair valuation.
- 📦 Volume strength: Current volume slightly above 1-week average, showing active trading interest.
⚠️ Limitation
- 📉 Quarterly PAT decline: Dropped from 231 Cr. to 137 Cr., showing earnings pressure.
- 📊 Trading below DMA levels: Indicates short-term weakness in momentum.
- 📉 Moderate ROE: 10.4% is below ideal levels for strong profitability.
🚨 Company Negative News
- ⚠️ FII holding decreased: -0.44% shows reduced foreign investor confidence.
- 📉 Profit slowdown: Weak quarterly performance raises concerns about near-term growth.
🌟 Company Positive News
- 📈 DII holding increased: 0.38% rise shows stronger domestic institutional support.
- 💹 Stable EPS: 12.6 ₹ reflects consistent earnings capacity despite profit decline.
🏭 Industry
- 📊 Industry PE: 40.9, higher than company PE, showing Kansai Nerolac trades at a discount.
- 🏗️ Sector growth drivers: Paints and coatings industry benefits from housing, infrastructure, and automotive demand.
📌 Conclusion
⚖️ Kansai Nerolac is a moderate candidate for swing trading. Entry near 225–228 ₹ offers a favorable setup. Exit should be considered around 245–250 ₹ if resistance holds. While fundamentals are stable and valuation is fair, declining profits and reduced FII interest limit short-term upside potential.